ATO analysis of the ‘gap’ between theoretical amounts of tax payable and that actually collected: GST – 7.3%, Large Corporate Income Tax – 5.8%, PAYGw – 1.9%, SG – 5.2%

Tax Month - October 2017, Tax Month - September 2017

The ATO has reported (on its website), that in October 2017, it updated its estimates for goods and services tax (GST), wine equalisation tax (WET), fuel excise, pay as you go (PAYG) withholding, and fuel tax credits (FTC). They advised: “We are in the process of refreshing our estimates and anticipate the next updates will be published…

CofT v Tamarama Fresh Juices Australia Pty Ltd & Ors – the Commissioner set aside a subpoena to disclose information generated in funding the Binetter company liquidators’ action against their directors – this time in the second action he funded to recover proceeds from the sale of the ‘Nudie’ juice business

Tax Month - September 2017

This Full Federal Court decision is an appeal, by the Commissioner of Taxation, from an interlocutory decision made by Foster J. The FFC allowed the Commissioner’s appeal and set aside a subpoena that required the Commissioner to produce various documents. Foster J’s decision is reported as [2017] FCA 358. The case turned on whether the subpoenaed…

Super ‘Transfer Balance Account’ ($1.6m cap) – Commissioner announces format of ‘report’ and instructions about when and how to use it

Tax Month - September 2017

The ATO has advised that the new Transfer balance account report (TBAR) and TBAR instructions are now available on ato.gov.au. The ATO says it has a plan to have an online TBAR form available from 1 January 2018. SMSFs can use the TBAR to report events that affect an individual member’s transfer balance account. While SMSFs will…

Transfer Balance Account reporting (for the $1.6m cap) – Commissioner registers the final version of this determination as to how providers are to report to the ATO

Tax Month - September 2017

The Commissioner registered the Reporting of event based transfer balance account information in accordance with the Taxation Administration Act 1953 [F2017L01273] on Wed 27.9.2017. This instrument is made under s390-5 (relating to Member information statements) and s 390-20 (relating to Statements relating to Holders of certain Life Insurance Policies) of Sch 1 to the TAA. It sets out the way in…

TDP 2017/2 – FBT and definition of “taxi” following the recent Federal Court decision including Ubers as ‘taxis’ for GST purposes – ATO releases Discussion Paper with 4 ‘consultation questions’

Tax Month - September 2017

On Wed 27.9.2017, the Commissioner released TDP2017/2, which is a discussion paper on the definition of ‘taxi’ for the purposes of the FBT Act. The definition of ‘taxi’ is relevant to FBT for the purposes of 58Z of the FBT Act, which exempts employers from having to pay fringe benefits tax in respect of travel undertaken…

Simplified GST Accounting Methods Legislative Instrument (No. 1) 2007 – determination continuing to allow small food retailers to estimate the amount of GST payable on mixed sales of taxable and non-taxable products

Tax Month - September 2017

Simplified GST Accounting Methods Legislative Instrument (No. 1) 2007 – the Commissioner registered this determination on the Federal Register of Legislation on Wed 27.9.2017. The Determination, made under s 123-5(1) of the GST Act, which provides eligible retailers with the choice to use a simplified accounting method (SAM) to help work out their net amount by…

HHWT and FCT – Amended GST and income tax assessments upheld where partnership ceased to carry on an enterprise and other irregularities mar the landscape

Tax Month - September 2017

The AAT has upheld amended GST and income tax assessments issued to an accountant. The taxpayer and his wife carried on an accounting practice in partnership. In late 2006, however, a deed of dissolution was executed in accordance with Family Court consent orders, declaring that the partnership was dissolved by mutual consent on 1 June 2006. The…

Trump’s “Unified Framework for Fixing our Broken Tax Code” – the first emanation of the President’s dramatic pro-business and jobs tax reform campaign proposals

Tax Month - September 2017

The Trump Administration, the House Committee on Ways and Means, and the Senate Committee on Finance, have announced that they have developed a unified ‘framework‘ to achieve, what they call a “pro-American, fiscally responsible tax reform”. The document is called a “Unified Framework for Fixing our [America’s] Tax Code“. This is the first emanation of…

‘Combatting Illegal Phoenixing’ – Treasury issues this Consultation Paper on implementing recommendations by its ‘phoenix’ and ‘black economy’ task forces

Tax Month - September 2017

On 28 September 2017, the Revenue Minister: Kelly O’Dwyer announced the Treasury’s release of a consultation paper  entitled “Combatting Illegal Phoenixing”. The Minister said: “The Consultation Paper seeks views on proposed reforms to the corporations and tax laws to deter and disrupt the core behaviours of phoenix operators, while minimising any unintended impacts on legitimate businesses…